A host of new cost-of-living measures have been announced by the Government as part of Budget 2023, with many changes on the way.
Finance Minister Paschal Donohoe revealed a total Budget package worth €11bn to the Dail, in what he described as a "cost-of-living Budget". Among the big changes on the way for households include households getting a €600 electricity credit, with the first payment before Christmas and two more in the new year. There will also be a once-off double payment week for social welfare payments.
Earlier today as Minister Donohoe and Minister for Public Expenditure Michael McGrath. announced the Budget, they also referenced key dates and figures mentioned in the 45 minute speeches. Here are a few of the key changes coming before the end of 2022.
Read more: Budget 2023: All the big winners in €11bn package announced by Government
Immediately
The cost of a packet of cigarettes will increase by €0.50 with proportional increases on other tobacco products.
October
A one-off double week of all weekly social welfare payments (including pensions) will be paid in October 2022. The carbon tax rate per tonne will increase from €41 to €48.50 from 12 October 2022 for auto fuels, and for all other fuels from 1 May 2023. The National Oil Reserves Agency Levy will be reduced to offset this increase.
November
A one-off double payment of Child Benefit will be paid in November 2022. A one-off payment of €500 will be paid in November to people who get:
- The Carer’s Support Grant
- Disability Allowance
- Invalidity Pension
- Blind Pension
All domestic electricity customers will get €600 credit off their electricity bills. The credit will be paid in 3 instalments of €200. The first payment will be made before Christmas.
December
The normal Christmas Bonus of 100% will be paid in early December 2022 to people getting a social welfare payment for at least 4 months. People who get Fuel Allowance will get an additional once-off €400 payment this winter.
People who get the Living Alone Increase will get an additional €200 lump sum this winter. If you get both Fuel Allowance and the Living Alone Allowance, you will get both additional payments.
The normal Christmas Bonus of 100% will be paid in early December 2022 to people getting a social welfare payment for at least 4 months.
More people will qualify for Fuel Allowance. People getting Fuel Allowance will get an additional once-off payment of €400 this winter.
January
The national minimum wage will increase by €0.80 to €11.30 per hour (January 2023). Personal rates of social welfare will rise by €12 from January 2023, with a proportionate increase for qualified adults and people on reduced rates of payment.
The top up paid to people on CE, TÚS and the Rural Social Scheme will increase by €5. The Domiciliary Care Allowance will be increased by €20.50 per month and will be available to parents whose child is in hospital for up to 6 months.
The income threshold for Fuel Allowance will be widened. The weekly rate for a qualified child will increase by €2 from €40 to €42 for children under 12 years of age. It will increase by €2 from €48 to €50 for children aged 12 years and over (from January 2023).
The Working Family Payment thresholds will increase by €40 across all family sizes. The Universal Childcare Subsidy will be increased from €0.50 per hour to €1.40 per hour from January 2023.
February
The 9% VAT rate for gas and electricity is extended to 28 February 2023. The reduction of 21 cent per litre for petrol, 16 cent per litre tax for diesel and 5.4 cent per litre for Marked Gas Oil are also extended to 28 February 2023.
The reduced VAT rate of 9% for the hospitality sector will continue until 28 February 2023.
September 2023
From 2023/24, schoolbooks for primary school children will be free.
The Student Contribution is reduced from €3000 to €2000. This applies from the 2022/23 academic year. It will be reduced by a further €500 next year.
The income threshold for a 50% reduction in the Student Contribution will increase from €55,000 per year, to €62,000 per year from next year.
A double Student Grant payment will be paid in December. The Student Grant will increase by between 10% and 14% from September 2023.
The Postgraduate fee grant will increase by €500. A one-off increase of €1000 will apply this year.
End of 2023 and beyond
Reduced fares of 20% on public transport are continuing until the end of 2023. The 50% price reduction on the Young Adult Leap Card remains until the end of 2023
The Help to Buy Scheme is extended until the end of 2024, and renters can claim a €500 Rental Tax Credit for this year and for subsequent years.
The Residential Development Stamp Duty Refund Scheme has also been extended to the end of 2025.
READ NEXT:
- Budget 2023: Full list of measures confirmed to tackle cost of living crisis
- Budget 2023: Price of cigarettes goes up again by 50c in unwelcome news for smokers
- Budget 2023: Parents the 'big winners' but childcare waiting lists will 'boom' under new measures
- Budget 2023: Dublin hairdresser fears VAT increase will see customers turn to shadow economy
- Rent credit and major changes to tax brackets announced by Minister Donohoe
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